Economics 1010

Frazier
Holland
7/19/2019

Econ - Reflection

There are many economic examples that I have found in my day to day life. However, one that
has affected my life recently is health insurance. My parents always stressed the importance of
having healthcare, and now as an adult and a mother, I understand. The demand of healthcare
in the market has risen due to the growing and aging population and the requirement to obtain
healthcare to avoid tax penalties. However, the supply of healthcare providers have not
increased, which has caused the price of healthcare to increase.

Another thought that came to mind when thinking about healthcare, is that a lot of the market
prices of healthcare costs are based on the government programs like medicaid and medicare.
To me, it seems the government could be seen in the position of being the monopoly when it
comes to healthcare because medicare and medicaid set price and quality. Here in Utah, you’ll
find another monopoly with insurance and healthcare, which is Intermountain Healthcare. Not
only, do they have the largest presence in the state, they also control the insurance brand,
SelectHealth, which insurances about 750,000 members. Their members must see provides
within the SelectHealth network in order to receive the maximum benefit, which a lot of these
providers are going to be part of intermountain clinics and physicians.

I find myself discouraged by the rising cost of healthcare and the lack of options here in the
state of Utah. There are only a number of insurance companies available in the state of Utah,
and even less available on the Federal Insurance Marketplace, leaving me without options. So
instead I made the decision to work while going to school and being a mother in order to have
healthcare for my family. I chose to work graveyard shift due to the cost of childcare (this is a
whole other supply/demand conversation). The opportunity cost for this decision is sacrificing
sleep, health and my personal time. However, the cost of not having healthcare, could end up
being much worse.

It makes me wonder if there were more government intervention, would the healthcare market
be such a failure? Would there be price ceilings made for not only the cost of healthcare, but
also the coverage? I think setting a price ceiling would help increase savings for the consumer,
but also for the government. Insurance premiums and the cost of healthcare could be set, rather
than a competitive market.

This class has opened my eyes to many things, good and bad within the economy. It has gave
me the understanding of why inflation is sometimes needed, how the United States is also
“learning” as it grows, and how individuals have an impact on the economy. I’m glad I took this
course and look forward to other economic courses.
Work Cited

“SelectHealth | About Us | Intermountain Healthcare.” ​Intermountainhealthcare.org,​

intermountainhealthcare.org/about/who-we-are/trustee-resource-center/overview/selecthealth/.